‘Yikes’ — wage growth called ‘incredibly disappointing’ in jobs report
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Economists called a slowdown in wage growth disappointing as the U.S. government reported the latest jobs figures on Friday, even as the unemployment rate stayed at a 50-year low.
As MarketWatch writes, wage growth over the past year has slipped to 2.9% from 3.1%, marking the first time it’s dropped below 3% since the summer of 2018. Meanwhile, the economy added 145,000 jobs in the final month of 2019 and the jobless rate stayed at 3.5%.
Here are some early comments from analysts.
• “A healthy jobs number, but lackluster wage growth is not news workers want to hear. Given the labor market is tightening, that wages only grew at a 2.9% rate in the last year is another argument that something has fundamentally changed in the economy. And that change or changes are keeping paychecks smaller than what they normally would be at this stage in an expansion.” — Robert Frick, corporate economist at Navy Federal Credit Union.
• Nick Bunker of Indeed exclaimed “yikes” at the wage-growth number and said in a tweet, “you’d want to see this number pick up at this point in the economic cycle.”
January 11, 2020 at 6:12 PM #249235SorechasmParticipant
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Surprised that economists are surprised. Don’t they know that the Federal Reserve has been falsely propping up this economy. The only two headlines that count to the PTB are stock market rallies, and. low unemployment. Those PTB do not want wage increases, as that will cut into their profits, and they control the FED.
“Go and tell Alexander that God the Supreme King is never the Author of insolent wrong, but is the Creator of light, of peace, of life, of water, of the body of man and of souls;...what Alexander offers and the gifts he promises are things to me utterly useless;..." Dandamis, a great sannyasi of Taxila.Excerpt From: Yogananda, Paramahansa. “Autobiography of a Yogi.”
January 11, 2020 at 6:22 PM #249238Populist ProleParticipant
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I agree. I believe they are feigning surprise or dismay as to stagnating wages, ostensibly to give them some measure of plausible deniability.
In this way, they believe they can have their cake and eat it too: Their gains are further solidified ( yet again ) while claiming they’re not culpable, because they’re “surprised”.
January 11, 2020 at 6:45 PM #249241Ohio BarbarianModerator
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Recession is coming. The longer they fend it off with smoke and mirrors, the worse it will be when it gets here. The plain fact is most people don’t have any financial “cushion” whatsoever; if they take a hit, their whole lives, including their already limited spending power, can go into a nightmarish downward spiral.
I’ve been there myself too many times to not know this. Yet another reason to get Bernie elected. He’s the only one with plans in place that would let most people buy more goods and services again.
It is better to vote for what you want and not get it than to vote for what you don't want and get it.--Eugene Debs
Show me a man that gets rich by being a politician, and I'll show you a crook.--Harry Truman
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